1. SIGNIFICANT ACCOUNTING POLICIES

(A) Basis of Preparation of Financial Statements

These Financial Statements are brpared in accordance with Indian Generally Accepted Accounting Principles under the historical cost convention, on an accrual basis of accounting. Generally Accepted Accounting Principles comprises of mandatory Accounting Standards as brscribed under Section 133 of the Companies Act, 2013 ('Act') read with Rule 7 of the Companies (Accounts Rules), 2014 and provisions of the Act to the extent notified.

(B) Fixed Assets & Debrciation

(i) All the fixed assets have been stated at cost less debrciation. Cost includes cost of purchase and other costs attributable to bringing the assets to working condition for intended use.

(ii) Fixed assets are debrciated on straight line method over the useful life of assets as brscribed under Part C of Schedule II of the Companies Act, 2013.

(C) Current Assets

(i) Current Assets, Loans and Advances are approximately of the value stated, if realized in the ordinary course of business.

(ii) Debit and Credit balances are subject to confirmation of parties.

(D) Leases

Leases are accounted for and disclosure made as per the requirements of Accounting Standard 19 - Leases, issued by the Institute of Chartered Accountants of India.

(E) Revenue Recognition

(i) The company's income from operations is accounted for on accrual basis.

(ii) Service Income is recognized as per the term of the contract/ agreements entered into with the customer when the related services are performed.

(iii) Dividend income is recognized when the right to receive the dividend is established.

(iv) Interest income is recognized on the time proportion basis.

(v) Profit or loss arising on account of sale of trade investments in forward contract in respect of firm commitment were booked as income or expenditure as on the date of such contract entered.

(F) Retirement Benefits

(i) Gratuity is accounted for on accrual basis by way of contribution to Group Gratuity Scheme of Life Insurance Corporation of India.

(ii) The company contributes the employers share of the Provident Fund and the Employees Pension Scheme with the Regional Provident Fund Commissioner and the charges all such amounts to the Statement of Profit and Loss on an accrual basis.

(G) Taxation

(i) Provision for current tax is made on the basis of estimated taxable income for the current accounting year in accordance with the Income tax Act, 1961.

(ii) The deferred tax charge or credit reflects the tax effect of timing differences between the book and the tax profits accounted for using the tax rates and laws that have been substantially enacted as on the Balance Sheet date.

(iii) Deferred Tax Assets arising from timing differences are recognized to the extent there is virtual certainty that these would be realized in future.

(H) Investments

(i) Long term investments are valued at cost.

(ii) Short Term Investments are valued at cost or fair value whichever is lower determined on an individual investment basis.

(iii) Trade investments are valued at cost or fair value whichever is lower determined on an individual investment basis.

(I) Earning per Share

Basic and diluted earnings per share is computed by dividing the net profit attributable to equity shareholders for the year, by the weighted average number of equity shares outstanding during the year.

(J) Foreign Currency Transactions

Transaction in foreign currencies pertaining to revenue accounts are accounted at approximate exchange rate brvalent on the transaction date. Gains and losses arising out of subsequent fluctuations are accounted for on actual payment / realization in Statement of Profit and Loss. The amount outstanding at the year end are translated at exchange rate brvailing at year end and the profits / loss so determined are recognized in the Statement of Profit and Loss.

(K) Provisions

A provision is recognized when there is a brsent obligation as a result of a past event, it is probable that an outflow of resources will be required to settle the obligation and in respect of which reliable estimate can be made. Provision is not discounted to its brsent value and is determined based on the best estimate required to settle the obligation at the Balance Sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the best current estimate.

(L) Impairment of Assets

The carrying amount of assets are reviewed at each Balance Sheet date if there is any indication of impairment based on internal/ external factors. An impairment loss will be recognized wherever the carrying amount of an asset exceeds its estimated recoverable amount. The recoverable amount is greater of the asset's net selling price and value in use. In assessing the value in use, the estimated future cash flows are discounted to the brsent value using the weighted average cost of capital.

After impairment, debrciation is provided on the revised carrying amount of the assets over its remaining useful life. Previously recognized impairment loss is further provided or reversed depending on changes in circumstances.

(M) Employee Stock Option

Measurement and disclosure of the employee share-based payment plans is done in accordance with the Guidance Note on Accounting for Employee Share based Payments, issued by The Institute of Chartered Accountants of India. Compensation expenses is amortised over he vesting period of the option on a straight line basis. The Company measures compensation cost relating to employee stock options using the intrinsic value method.

1) (a) Current Assets, Loans and Advances are approximately of the value stated, if realised in the ordinary course of business. (b) Debit and Credit balances are subject to confirmation of parties.

2) Provision for taxation has been made during the year under "Minimum Alternate Tax" (MAT) as per the provisions of the Indian Income Tax Act, 1961, which can be setoff in the subsequent year based on the provisions of Section 115 JB.

3) The Company has revised debrciation rates on Fixed Assets effective 1st April, 2014 in accordance with requirements of Schedule II of Companies Act, 2013 ("the Act"). The remaining useful life of the Fixed Assets has been revised by adopting standard useful life as per new Companies Act 2013. The carrying amount of the Fixed Assets as on 1st April, 2014 is debrciated over the remaining useful life. As a result of this changes :-

(a) The debrciation charge for the year ended 31st March, 2015 is lower by Rs. 180,545/-

(b) There is a debit to retained earnings of Rs. 135,725/- for the Fixed Assets whose remaining life as on 1st April, 2014 is expired in accordance with revised life as per Companies Act 2013.

3) Previous Year figures are regrouped or rearranged wherever necessary to correspond with the current year figures

As per our attached report of even date

For Rahul Gautam Divan & Associates

Chartered Accountants

Gautam Divan

Partner

For and on behalf of Board of Directors

U. Ramachandran

Director & CFO

Sridhar H.

Company Secretary

Kumar Nair

Managing Director

R. L. Shenoy

Director

Raghu R. Palat

Director

Nirmala Parab

Director

Place: Mumbai

Date : May 27, 2015